What is PHR? How to Check out if the PHR certification Cost is Worth it

The Professional in Human Resources (PHR) certification is a valuable credential in human resource management, validating an individual's proficiency in crucial HR competencies like workforce planning, employment, employee and labor relations, compensation, benefits, and strategic development.

However, acquiring one requires careful consideration, especially considering the PHR certification cost and other factors. To determine if the PHR certification fee, efforts, and the exam are worthwhile, refer to the details outlined in this article.

What is PHR Certification?

PHR certification refers to a credential that validates a person's knowledge and expertise in the technical and operational aspects of HR management. It's specifically designed for HR professionals who have experience implementing programs with a tactical/logistical orientation.

Earning the PHR certification demonstrates:

• Mastery of the core HR functions. This includes recruitment and selection, employee relations, compensation and benefits, training and development, and more.

• Understanding of U.S. laws and regulations. The exam covers relevant federal and state employment laws, ensuring you're up-to-date on compliance requirements.

• Commitment to professional development. Pursuing and achieving the PHR Certification shows your dedication to continuous learning and improvement in the HR field.

The PHR exam is a computer-based test with 90 scored questions + 25 pretest questions. You'll have 2 hours to complete the exam (plus 30 minutes of administration time), so make sure you pace yourself and don't spend too much time on any one question.

As of January 18, 2023, there are 66,743 PHR certification holders, the highest among all HRCI certifications. The PHR exam had a 61% pass rate as of December 31, 2022.

Who Offers PHR Certification

The Human Resource Certification Institute (HRCI) is the sole organization that offers the Professional in Human Resources (PHR) certification. Apart from PHR, the highly reputable and widely recognized institution also offers several other notable certifications, such as:

• aPHR® (or Associate Professional in Human Resources)

• SPHR® (or Senior Professional in Human Resources)

• GPHR (or Global Professional in Human Resources)

• PHRca* (or Professional in Human Resources - California)

• PHRi (or Professional in Human Resources - International)

• SPHRi (or Senior Professional in Human Resources - International)

PHR Certification Cost

The PHR certification cost is at least $495, with $100 for the application and $395 for the test itself. Additionally, individuals may choose to spend more on optional study materials, such as guides, practice exams, or even pricier prep courses ranging from $100 to $1,200. So, the total PHR certification fee can vary based on the taker's preparation needs.

Benefits of PHR Certification

Below are several benefits of becoming PHR certified:

• Salary boost. Differentiate from non-certified peers, which qualifies for a higher salary.

• Open doors to higher-paying jobs. Unlock opportunities that are typically reserved for certified professionals.

• Deepen expertise. Master essential HR functions, U.S. laws, and operational excellence, which establishes yourself as a knowledgeable HR professional.

• Boost credibility. Garner industry recognition and showcase commitment to professional development, positioning yourself as a trusted expert.

• Sense of accomplishment. Attain the prestigious PHR certification, which validates dedication and hard work.

• Confidence and security. Feel empowered and well-prepared to tackle any HR challenge with confidence.

How to Know if the PHR Certification Cost is Worth it

Evaluating the value of the PHR certification cost for you requires considering several factors. Below is a guide on how to assess whether the PHR certification fee is worth it:

1. Step 1: Analyze PHR Certification Costs

   Analyzing the PHR certification cost is the first step to determining if it is worth pursuing. Research and gather information, including exam fees, study materials, preparation courses, and any additional costs associated with maintaining the certification over time.

   • Application Fee: $100
   • Exam Fee: $395
2. Step 2: Consider Potential Benefits

   Identify the potential benefits of obtaining the PHR certification. This may include increased job opportunities, salary raise, professional recognition, and a deeper understanding of HR principles and practices.

3. Step 3: Evaluate Your Career Goals

   Reflect on your long-term career goals. If your aspirations involve advancing in the field of human resources or moving into higher-level HR positions, the PHR certification may be a valuable asset.

4. Step 4: Gather Information

   Seek insights from professionals who have already obtained the PHR certification. This can provide you with real-world perspectives on how the certification has impacted their careers.

5. Step 5: Weigh PHR Certification Costs vs. Benefits

   Consider the PHR certification cost against the potential career benefits it may bring to your career. Consider factors such as job market demand for certified HR professionals, potential salary increases, and the credibility the certification adds to your resume.

6. Step 6: Make an Informed Decision

   Based on your analysis of benefits, PHR certification fees, etc., make an informed decision about whether the PHR certification is worth the investment for your specific career goals and circumstances. Think about short-term and long-term returns on investment.

How to Get PHR Certification

Let's say you've decided that investing in the PHR (Professional in Human Resources) certification is worthwhile. So, how do you go about getting a PHR certification? Here’s how to do it:

1. Step 1: Meet Eligibility Requirements

   You need to meet certain eligibility criteria to qualify for the PHR certification. This includes:

   • Having at least one year of experience in a professional-level HR position with a Master’s degree or higher.
   • Having at least two years of experience in a professional-level HR position with a Bachelor’s degree
   • Or having at least four years of experience in a professional-level HR position.
2. Step 2: Apply to HRCI

   Once you meet the eligibility requirements, you can apply for the PHR certification through the HRCI website. Submit your application online, pay the PHR certification fees including the $100 non-refundable application fee and a $395 exam fee, and provide documentation of your education and experience.

3. Step 3: Schedule Your Exam

   After your application is approved, you will receive an authorization-to-test (ATT) email. This includes instructions on how to schedule your PHR exam.

4. Step 4: Prepare for the Exam

   It's crucial to prepare thoroughly for the PHR exam. Just remember the effort you put into applying and the PHR certification cost. The exam covers various HR functional areas, and studying for it can involve using HRCI-approved study materials, textbooks, online courses, or attending preparatory workshops. HRCI provides a list of recommended resources, and there are also third-party study materials available.

5. Step 5: Take and Pass the Exam

   On the scheduled exam day, make sure to arrive at the testing center on time and with the required identification. The PHR exam is computer-based and consists of multiple-choice questions. The questions cover areas such as business management (14%), talent planning and acquisition (14%), learning and development (10%), total rewards (15%) employee engagement (17%), HR information management (10%), and employee and labor relations (20%).

   Speaking of Total Rewards and Talent Planning, Salary.com's Compensation Planning includes Total Compensation and Talent Management features that not only help you design, administer, and communicate your company's total compensation philosophy but also integrate existing spreadsheets and utilize a comprehensive formula engine for easy talent management. The tool also supports managing merit raises, bonuses, commissions, long-term incentive awards, equity, and employee total rewards statements across an entire organization.

FAQs

Now that you understand how to assess whether the PHR certification fee is worthwhile and the process of getting one, let's address some frequently asked questions.

Is PHR certification worth getting?

Yes, a PHR certification can be beneficial, but it's important to consider factors such as PHR certification costs, time commitment, experience level, and how the certification aligns with your career goals.

Can anyone take the PHR exam?

No, only eligible candidates can take the PHR (Professional in Human Resources) exam. The candidates must have:

• One year of experience in a professional HR position with a Master’s degree or higher.

• Two years of experience in a professional HR position with a Bachelor’s degree.

• Four years of professional experience in a Human Resources role.

Is the PHR exam difficult?

Yes, the PHR exam can be challenging, especially considering its current 61% pass rate. However, with diligent preparation and focused study efforts, success is achievable.

What if I fail the PHR exam?

Failing the PHR exam can be disappointing, but it's relatively common. You can reapply immediately after the unsuccessful attempt but must wait 90 calendar days between exam attempts.

Just ensure you pinpoint specific topics or domains where you struggled. This will help you adjust your study plan to focus on areas that need more attention.

Note: All exam eligibility requirements, including the PHR certification fees, apply to this new exam application. Candidates can only attempt the same exam three (3) times in a row within a 365-day period.

Can you take the PHR online?

Yes, it is possible to take the PHR exam online. Currently, residents of the United States and Canada have access to online exam delivery.

The PHR certification cost can be overwhelming, but the credential can be a significant factor for professionals aiming to advance their careers in human resources. Despite the financial investment and effort required to obtain the certification, the potential returns in terms of career advancement, heightened credibility, increased earning potential, and the extensive knowledge gained during the certification process make it an asset for HR professionals dedicated to continuous learning and professional growth.